The Planning and Development Department for the city of Forth Worth requires contractors to purchase a surety bond to cover their work and protect the city. The city of Fort Worth Parkway Contractor Bond allows the city to hire outside contractors to work within the city limits while still being protected against poor workmanship or low-quality materials. What does getting one of these bonds mean for you as the contractor, and how can you obtain one?
What Is a City of Fort Worth Parkway Contractor Bond?
A city of Forth Worth Parkway Contractor Bond is required to work within the city limits in areas considered a right-of-way in compliance with Section 30-33 of the Fort Worth City Code. The bond serves as protection for the city if the contractor they hire does not properly fulfill the job they were hired to do or causes damage due to not adhering to the rules set forth by the city.
If a claim is made and deemed valid, that money will be paid initially by the surety company, but, in the end, you must cover it as the principal. Whether the contract is in a commercial or residential area, a surety bond is still required if it is within city limits. Once submitted along with all the other necessary documents, a contractor would be covered to work in the following areas in Fort Worth:
Any general contractor working within Fort Worth on construction, building, pouring, repair, or reconstruction in the above locations must possess this bond. The city of Fort Worth bond program states that a contractor must repair any damage or issues that arise within two years after completing a job if it is a clear result of poor work done by the contractor.
What Are the Requirements?
In order to receive a City of Fort Worth Parkway Contractor Bond, you must be a licensed contractor in the city. If you are new to the area or new to working within city limits, you will need to fill out a city of Fort Worth contractor registration form to become licensed. Next, you need to have an original $10,000 City of Fort Worth Parkway Contractors Bond with the seal and Power-of-Attorney documentation. You must also pay your annual contractor’s license fee of $500 and provide a list of individuals legally authorized to sign contracts or other legal documents on your behalf. Lastly, if your job includes commercial work, you need to include a certificate of liability insurance in the amount of $1 million of general commercial liability coverage that specifically states that the city of Fort Worth is insured.
In summary, the requirements for performing construction within Fort Worth right-of-way locations are:
- Original $10,000 City of Fort Worth Parkway Contractors Bond with Power-of-Attorney
- Application for contractor’s license if you are new to the area
- $500 annual contractor’s license fee
- Authorized signer list
- Certificate of $1 million general commercial liability insurance coverage
How To Get a Parkway Contractor Bond
The list above gives you all the documentation you will need to gather in order to work within the city of Fort Worth. The city requires you to get the $10,000 bond to guarantee that the contractors they hire will adhere to all local and governmental regulations and specifications.
If the contractor causes any damage to the right-of-way they are working on due to not properly following the guidelines, the city can submit a claim to get reimbursed for the financial loss caused. It is in the contractor’s best interest to work with the city ordinances and maintain a positive working relationship.
As a Fort Worth general contractor, you can purchase a City of Fort Worth Parkway Contractors Bond through a reputable licensed surety bond provider such as TMD Surety Bonds. With experience processing, thousands of bonds such as title bonds, freight bonds, performance bonds, and, of course, contractor bonds, a team of experts can work alongside you to help obtain the necessary documents and get you back to work.